As consumers become increasingly comfortable with “do-it-yourself” banking, financial institutions have been able to cut costs by “right-sizing” customer service operations. But a recent survey commissioned by Nuance Communications shows that both consumers and bank leaders believe it’s time to prioritize proactively engaging with customers and offering a great consumer banking experience.
Conducted by Wakefield Research, the survey of 1,000 American consumers and 200 banking executives found that consumers aren’t afraid to take action if they have a bad experience. On average, one out of every 10 customer service interactions with bank providers is considered negative by consumers. While this is relatively small, one-third of consumers (32%) say they have cancelled a service or ended a relationship with a bank because of a bad customer service experience.
No wonder bankers are worried that their recent cost cutting may have gone too far. Nearly 70% of them fear that it’s negatively affected the quality of their customer experience. They go on to say they’re struggling to balance the need to reduce costs with increasingly complex demands of regulatory compliance and satisfying customers. If banks are not able to invest in the consumer banking experience, they run the risk that underserving their customer base will lead to widespread defections – either to competing banks or an array of non-bank alternatives offering pre-paid debit cards that don’t require consumers establish a traditional bank account.
So what’s the right strategy? That’s the topic we’ll tackle in the upcoming webinar “Customer Experience Roulette: Are Banks Making the Right Investments?” on Thursday December 11 at 2pm Eastern. We’ll share a look at what the research findings show, including:
- Boomers vs. Millenials. What does the future hold for consumer banking experience?
- Misconceptions that are causing consumers to switch banks
- What channels and messages are most effective in reaching your banking customers
- Where your banking peers are making investments – and where they aren’t
In addition to sharing the rest of our research findings, we’ll offer some timely advice on what bank executives should do to stay relevant and meet the needs of their increasingly demanding customer base. Please join us on December 11 to hear what the future of banking customer experiences hold.